Crunching numbers and considering some family dynamics, I came up with a roughly five-year plan to retire quite comfortably with a healthy margin of safety.
• Passive plus active income will cover your expenses • Career aspirations fulfilled (or willfully abandoned) • A plan to retire To something.
There are two distinct likelihoods of regret that must be considered. 1. The likelihood you’ll regret retiring too soon. 2. The likelihood you’ll regret working too long.
- You could have earned more money. - You may be wearing some golden handcuffs. - Life might not change that much anyway.
- There is a time opportunity cost. - You don’t want to experience full burnout. - Life is short.
– A prolonged market downturn – Economic Inflation, particularly if your investments are not protective against it – Personal inflation, a.k.a. Lifestyle Inflation requiring a larger nest egg